The establishment of the Haj Fund Management Agency (BPKH) in August 2017 was very strategic for improving the quality and efficiency of our haj fund management.
The existing haj funds should be more professionally managed by investing them in more productive assets, indubitably while observing sharia and prudential principles. The change in investment strategy is needed so they would gain higher returns, which would be beneficial both for the owners of the funds and the government, including for anticipating the increase in the cost of the haj in the future.
The haj funds currently managed by BPKH amount to about Rp 110 trillion (US$775.69 million) and have an annual return of about 5.5 percent. The funds are raised from millions of people who have paid deposits to go on the haj.
Almost the same rate of return is targeted by the BPKH fo...
Disclaimer: The opinions expressed in this article are those of the author and do not reflect the official stance of The Jakarta Post.